Quantum Meruit CASES
In English law, quantum meruit (“as much as deserved”) is a principle allowing a party to recover reasonable compensation for services provided or work done when no specific contractual agreement on payment exists.
Definition and Principles
Quantum meruit applies where work or services are performed, typically under an incomplete, terminated, or non-existent contract, ensuring fair payment based on the value provided rather than agreed terms.
Common Scenarios
- Incomplete Contracts: When contracts are terminated prematurely, allowing recovery for partial performance.
- No Formal Agreement: Where services are performed without explicit payment terms but in expectation of compensation.
- Unjust Enrichment: Preventing one party from benefiting unfairly from another’s labour or services.
Calculation of Quantum Meruit
Courts assess reasonable compensation based on market rates, extent of benefit received, and circumstances surrounding the service provision.
Practical Importance
Quantum meruit ensures fairness by compensating parties reasonably for services provided, even absent explicit contractual agreements.
Home » Quantum Meruit
Planche, a dramatist, was engaged to write an article on costume for a juvenile publication. When defendants discontinued the publication before completion, Planche sued for work already done. The court held he could recover on a quantum meruit for partial performance rendered useless by the defendants' breach. Facts The plaintiff,...
A building contractor agreed to build 78 houses within eight months but took twenty-two months due to labour and material shortages. The contractor claimed the contract was frustrated and sought payment on a quantum meruit basis. The House of Lords held the contract was not frustrated as the work remained...
A ship's second mate died during the voyage from Jamaica to Liverpool before completing the journey. He had agreed to receive thirty guineas on condition he served the entire voyage. The Court held that as the contract was entire and the condition precedent unfulfilled, his estate could recover nothing. Facts...
British Steel delivered steel nodes after receiving a letter of intent but before a formal contract was concluded. When negotiations failed and payment was refused, the court held no contract existed but allowed recovery on a quantum meruit basis for work done. Facts British Steel Corporation delivered steel nodes to...